Ex-bosses’ ‘contempt’ for CFMEU members, says Murray Watt
Workplace Relations Minister Murray Watt says a ‘damning’ probe into the NSW CFMEU’s transfer of $3m of members’ funds was a ‘shocking indictment’ of the union’s former leadership.
Workplace Relations Minister Murray Watt says a “damning” probe into the NSW CFMEU’s transfer of $3m of members’ funds was a “shocking indictment” of the union’s former leadership and showed its contempt for the rank-and-file membership.
Builders welcomed the report, revealed by The Australian, which recommended the union’s ousted NSW secretary, Darren Greenfield, be prosecuted on criminal charges for recklessly failing to discharge his duties and dishonestly using his position to gain financial advantage.
The report, undertaken by corruption buster Geoffrey Watson, recommended action against the Greenfields, the union’s former NSW president, Rita Mallia, and ex-NSW assistant secretary, Rob Kera, over the transfer of $3.15m of members’ funds to pay for lawyers for Mr Greenfield and his son, Michael, to fight bribery charges.
In addition to $895,000 paid to Sydney law firm Mills Oakley over three years at a rate of nearly $30,000 a month, the NSW CFMEU committee of management authorised the $3.15m transfer to a second law firm, McGirr & Associates, two days after the Albanese government announced the union would be forced into administration.
At the same time, the committee approved the use of $500,000 to defend any commission proceedings relating to the proposed administration.
In his 41-page report, Mr Watson made numerous claims regarding the conduct of the Greenfields, Ms Mallia and Mr Kera, saying “it is remarkable that, at this time of apparent crisis, the Greenfields were receiving this kind of specifically preferential treatment”.
Senator Watt told The Australian the “damning report” showed the “contempt of the union’s former leadership towards its members”.
“The report’s finding that the Greenfields’ interests were placed ahead of those of union members is a shocking indictment of the union’s former leadership,” he said.
Senator Watt, who has claimed the transfer of funds “stinks to high heaven”, said the “behaviour shows again that too many of the CFMEU’s former leaders were acting in their own self-interest, not in the interests of their members”.
Lawyer Paul McGirr, representing Darren Greenfield, said his client would again seek to delay entering a plea on the bribery charges when the matter returns to court next week.
In his report, Mr Watson claimed Mr McGirr should be subject to civil penalty proceedings for an alleged serious contravention, alleging he “undoubtedly aided and abetted” the four officials in their alleged contraventions by providing a “grossly inflated” fees estimate and providing his trust account as the receptacle for the money.
Mr McGirr has strongly rejected the claims and said he would next week seek a further adjournment of the proceedings.
“After the events that have transpired over recent days in respect to not only my clients but due to some comments directed personally at myself by Watson, for which I am seeking advice in respect to defamation, and the fact that a High Court decision is imminent that will directly affect my clients one way or the other, I will be seeking a further adjournment,” he said.
Master Builders Australia chief executive Denita Wawn said it was “good to see this kind of progress being made” by the CFMEU administrator, Mark Irving. “Master Builders fully supports these efforts to help restore integrity in our industry,” Ms Wawn said.
“There is a huge challenge before all of us in ensuring that the CFMEU is cleaned up.
Opposition workplace relations spokeswoman Michaelia Cash said Mr Watson’s findings were not surprising. “There have been strong concerns for many years about CFMEU members’ funds being wasted, misappropriated and used for inappropriate or illegal purposes,” she said.
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